German fund manager KGAL is preparing to enter the Spanish property market with the acquisition of a portion of Barings’ Carrefour supermarket portfolio in the country.
According to well-informed market sources, KGAL is in final talks to buy a number of Carrefour properties from Barings for a price in the region of €100 mln.
The package represents a portion of a larger supermarket portfolio which Barings acquired from Kennedy Wilson at the end of 2019 for €73 mln.
The original portfolio included 10 supermarket assets across five Spanish regions, fully let to Carrefour and offering 38,800 m2 of space.
The majority of the assets benefit from prime city centre locations and good public transport connections, with two situated in Madrid, four in Barcelona and the others in Bilbao, Salamanca, Cádiz and Almería. Six of the units also offer generous parking provision with around 1,120 spaces across the portfolio.
Savills Aguirre Newman is advising the vendor on the deal.
KGAL’s real estate team completed a total of 31 property transactions worth €1.3 bn last year, almost half of which were outside the domestic German market. In addition to transactions in Germany, KGAL made acquisitions in Ireland, the Netherlands, Poland and Austria. The occupancy rate across the whole portfolio – which is invested in residential, office, local shopping centres and retail parks – stands at 98.4%.